Thank you for that script.
Out of curiosity:
What you describe is a classic sync conflict that is usually treated by the storage provider by creating 2 files so one can check both files and decide which one to keep, or merge them.
According to this post, Cryptomator can detect this and should also show 2 unencrypted files so one can choose/merge.
Is this not working in your scenario?
Or did I get the purpose of your script wrong?